Konami Group Report: Fiscal 2023

Key insights

7 takeaways

01
Konami achieved record-high total revenue for the fiscal year ending March 31, 2023, marking the sixth consecutive year of sales growth.See it on page 2
02
The company declared a record-high regular dividend of ¥124 per share for fiscal 2023, an increase of ¥0.5 from the previous year.See it on page 2
03
Digital Entertainment performance was driven by 'eFootball™ 2023' surpassing 600 million downloads and strong momentum from 'Yu-Gi-Oh! MASTER DUEL' and 'PROFESSIONAL BASEBALL SPIRITS A (Ace)'.See it on page 3
04
Konami is aggressively expanding its R&D infrastructure, having opened the Konami Osaka Studio in March 2023 and planning the completion of the 'Konami Creative Front Tokyo Bay' center in 2025.See it on page 6
05
The Gaming & Systems business saw success with the 'DIMENSION' slot machine series in North American and Australian markets and the expansion of the 'SeleXion™' multi-game cabinet.See it on page 3
06
The Sports business is scaling its 'Pilates Mirror' studio concept, opening six new locations in 2023 following the success of three initial studios launched in 2022.See it on page 5
07
The company is prioritizing investment in next-generation technologies, specifically targeting AI, 5G/6G, VR/AR, Web3.0, and the metaverse to drive future product development.See it on page 2

Summary

The Konami Group Fiscal 2023 report outlines the company’s performance and strategic direction following its 50th anniversary. The primary thesis centers on achieving sustainable long-term growth by leveraging next-generation technologies—including AI, Web3.0, and the metaverse—while simultaneously prioritizing human capital investment to maintain a competitive edge in the global entertainment and sports industries.

Financial results for the fiscal year ending March 31, 2023, reflect a mixed performance. Total revenue reached a record high of ¥314.3 billion, marking a 4.9% year-on-year increase, driven largely by a recovery in the Gaming & Systems business post-pandemic. However, profitability metrics declined, with business profit falling 29.5% to ¥56.6 billion and profit attributable to owners of the parent decreasing 36.3% to ¥34.9 billion. Despite these profit contractions, the company declared a record-high regular dividend of ¥124 per share, signaling confidence in its ongoing business strategy.

Operational highlights demonstrate a focus on diversifying revenue streams across four key segments. In Digital Entertainment, the company capitalized on major sports events and intellectual property, notably through collaborations with the World Baseball Classic and the continued success of established titles like eFootball and the Yu-Gi-Oh! card game series. The Amusement segment saw the introduction of new medal games, while the Gaming & Systems division expanded its market share in North America and Australia with the DIMENSION series of slot machines. The Sports segment focused on expanding its Pilates Mirror studio network and enhancing online health services.

To support future innovation, the company is aggressively investing in its workforce and infrastructure. This includes the opening of the Konami Osaka Studio and the planned 2025 completion of the Konami Creative Front Tokyo Bay, a major R&D facility. These initiatives are complemented by significant investments in employee compensation and health-focused workplace certifications, reinforcing a commitment to fostering a creative environment capable of adapting to rapid technological shifts.